Holly Mckay
Holly MackayFounder and CEO
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    Am I allowed to invest in 2 ISA's in the same year?

    23 March 2021

    Question by E

    I have a stock and shares ISA with two separate providers. The ISA accounts were set up in different years (2015 & 2020). Am I allowed to invest in both ISA's in the same year or do I have to choose between them? If so, would it be better to transfer the funds from one provider to the other and invest through a single provider.

    Answered by Boring Money

    No, you would have to choose one of your Stocks and Shares ISA's to contribute to that tax year. You can pay into more than one type of Isa in a tax year. There are four types of ISA's, Cash ISA, Stocks and Shares ISA, Innovative Finance ISA, Lifetime ISA, and you can contribute a total of £20,000 overall in a tax year. For example, you can contribute to a Cash ISA and a Stocks and Share ISA within the same tax year up to the £20,000 limit, but you can't pay into each of your two Stocks and Shares ISA's within the same tax year. Your past tax year's ISA contributions that you built up will be unaffected, so you don’t have to consolidate them. There may be benefits to consolidate the ISA’s if for example, it reduces your charges or makes it easier to track, but it is not necessary. I would start by looking at what do they charge you, does the provider offer you the features you want and need and if the investment option right for you. I hope this helps.

    Warm wishes

    Answered by

    Boring Money

    Important stuffHolly and the team have worked in the finance industry for many years but we are not regulated to give you personal financial advice. For every story on this website about a good investment, or something which went up by 10% or made someone £200, we could also share a story about a bad investment, something which fell in value or lost someone £200. We aim to provide general information and pointers – and btw we are totally agnostic about which providers you might pick – but if you have complex affairs, want personalised advice or need specific recommendations, please look at advice pages and see if regulated digital or traditional financial advice would be the best solution for your needs. Boring Money Ltd is a limited company registered in England and Wales under registration number 09459832 and we have our registered office at 10 Lower Thames Street, London, England, EC3R 6AF.
    Risk warningAs is always the case with investing, your capital is at risk. The value of your portfolio can go down as well as up and you may get back less than you invest. Tax treatment depends on your individual circumstances and may change in the future.
    Boring Money Ltd is a limited company registered in England and Wales under registration number 09459832 and we have our registered office at 10 Lower Thames Street, London, England, EC3R 6AF.
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